Frith: Normalized US LFP cell production is 8% costlier than China
James Frith · Unpacking China’s cheap battery costs · Oct 10, 2024 · at 25:54
James Frith cites BloombergNEF cost modeling to compare unit production costs between equivalent 35 GWh LFP battery facilities in the US and China.
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“For a LFP cell produced in China, 35 gigawatt hour facility you're looking at around kind of 68 dollars per kilowatt hour. So this isn't kind of optimized for these super low prices that we we're seeing today, but Assumes a kind of LFP material costs of about five bucks per kilowatt hour. You compare that to manufacturing in, in the U.S., and so again, the things, the only things that we're really changing here are those OPEX numbers and CAPEX, again, which we'll come onto in, in, in a moment. But the cost of manufacturing in, in the U.S. Is about 75 dollars per kilowatt hour, so it's only eight percent higher if we're changing those kind of common variables that you would be thinking about if you're moving from China to the U.S.”
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